Initial Margin Level -In order to open a new position, available account equity must exceed initial margin level requirement. The initial margin level requirement is 5% of open positions value. For example, an IMM account with HK$100,000 available account equity could open up to 3.3 lot new EUR position at a price of 1.2200.

Maintenance Margin Level- When the equity of an account falls below the maintenance margin level requirements, Hong Kong Forex has the right at its discretion to close open positions until account equity exceeds the maintenance margin level requirement. The maintenance margin level requirement is 3% of open positions value. For example, an IMM account with equity of HK$29737 and 1 EUR lot in open position breaches the maintenance margin level requirement at price 1.2200.

Liquidation Margin Level - When the equity of an account falls below the liquidation margin level requirement, Hong Kong Forex will automatically close all open position in the accounts. The liquidation margin level is 1% of open positions' value. For example, an account with equity of HK$5,947 which contained 1 EUR lot in open positions at price 1.2200, would automatically have all positions closed at the next available market price.